In conversation with Rahul Mishra, CEO, Rays Future Energy India Pvt. Ltd
As an EPC rooftop player, what key challenges do you face today?
We arean ISO 9001 & ISO 14001 certified leading integrated solar power company with presence across the entire solar value chain. As a leading solar energy company we have for long been able to face and surpass several challenges that has come our way and still continue to do so.
Some of the key challenges we face, as of today, are as follows:
The existing variation in the policy framework between states and the center has needlessly complicated the growth evaluation system. We need a simplistic and cohesive policy framework to streamline the system
Currently, small solar energy grids and solar home systems together produce about 1 GW of power-a very small part of India’s total renewable energy target of 200 GW by 2022. Major part of this target will come from rooftop solar energy and large scale renewable energy plants connected to India’s national electricity grid. Additionally,Rooftop solar needs more focus on net metering. Although 30 of the total 36 states and Union territories in India have net-metering policies, but they lack clarity in terms of model implementation, securing multiple permissions, untrained utility staff and lack of awareness stops severalsolar companies in getting expected results.
The Government also needs to take adequate measures in raising consumer awareness regarding solar power and its usage
There exists several challenges with respect to grid integration- with the likelihood of power flow reversal across the network and erratic behavior of low voltage protection systems. Moreover, power from multiple small solar projects poses a challenge to grid stability.
Delay in subsidy also affect the growth and adoption of solar rooftop. On one hand it left those who had put up rooftop solar with the promise of early subsidies, highly disappointed and on the other hand, this bad news has spread fast.
Tell us about Rays Future Energy. When was it incorporated?
Rays Future Energy India Pvt. Ltd is Rays Power Infra’s new venture (functional and operational since May’17), shall be focusing ondistributed solar generation including rooftop solutions, Energy Storage, E- Vehicle &; associated infrastructure and solar energy based products.
Which states do you believe lead see maximum solar energy investments this year?
The western state of Maharashtra, the most industrialized state with high electricity tariffs, sawmajor solar rooftop investments this year.
What is the impact of aggressive bidding on rooftop EPC players?Does cost v/s quality comes into the picture?
Healthy competition is always good as the market is huge. Competition breeds innovation. It makes stakeholders to come up with new ways, so as to optimize the costs &ensure maximum utilization of available assets.
Falling prices undoubtedly put EPC companies under a lot of pressure to make their projects more cost-effective and financially viable. To survive the competition, contractors have no option but to go for cutthroat pricing and cost-cutting measures, which should be accounted for, at all stages as per the demand of the market.
This will not affect the quality as bidders have to submit large amount of PBG’s.
What are the milestones you wish to achieve by the end of this fiscal?
Our number of projects are on advance stages of discussion so we are hopeful that we can achieve 50 MW solar rooftop projects through private participation &Government tenders by the end of this fiscal.